Pros Explained

• Fewer complaints than expected: Lincoln Financial receives far fewer customer complaints than expected for its size, according to data from the National Association of Insurance Commissioners (NAIC).
• No medical exam required for some applicants: Healthy applicants between the ages of 18 and 60 may be able to obtain coverage without undergoing a medical exam or bloodwork if they’re seeking coverage of $1 million or less.
• Superior financial strength: AM Best gives Lincoln Financial an A+ (Superior) rating, which indicates that it’s in a superior position to meet its financial obligations. Lincoln Financial ranks among the best life insurance companies for its financial strength.
• Affordable term policies: We collected quotes from 32 insurers offering term coverage. Lincoln Financial’s policies were among the most affordably priced, particularly for healthy applicants in their 40s and 50s.

Cons Explained

• Whole life insurance is not available: Though Lincoln Financial offers several types of permanent life insurance, it doesn’t provide whole life insurance. 
• Same-day decisions not available: Lincoln Financial doesn’t offer same-day decisions, though some term life applications can be approved within two days.
• No website quotes or online application: You can’t get a quote on the company’s website and will need to reach out to an agent to apply for a policy.

Complaint Index

Lincoln Financial receives very few complaints relative to its size, according to the National Association of Insurance Commissioners (NAIC). To assess the number of complaints a company gets, we used the NAIC complaint index, which evaluates companies based on the number of complaints they receive relative to their size. We then averaged three years’ worth of index scores to determine how a company measures up.

A company with an index of 1.0 received an expected number of complaints based on its size. An index greater than 1.0 shows that the company received more complaints than expected. An index below 1.0 indicates fewer complaints compared to similarly sized companies. Lincoln Financial's average complaint index scores for 2020, 2021, and 2022 were 0.9, 0.8, and 0.12, respectively. meaning that it received fewer complaints than expected.

Third-Party Ratings

Lincoln Financial gets high marks for its financial strength. The company received an A+ (Superior) grade from the credit rating agency AM Best for its financial strength and ability to meet its ongoing insurance obligations. AM Best assigns companies a grade from A++ to D, with an A++ rating considered superior, while a D rating is poor.

The company scores just below average for overall customer satisfaction, according to the 2021 U.S. Individual Life Insurance Study by J.D. Power, which measures overall customer satisfaction on a 1,000-point scale. Lincoln Financial Group ranked 12th out of 21 insurers and received a score of 773, just below the industry average of 776.

Policies Available

Lincoln Financial offers term insurance, as well as three types of permanent life insurance policies.

Term life

Term life insurance is a type of life insurance that only pays a death benefit if the insured dies within a specific time period, such as 20 or 30 years. Compared to permanent life insurance, term life policies are typically much more affordable.

Lincoln Financial offers term life policies for 10, 15, 20, or 30 years with guaranteed level premiums. Policyholders have the option to convert to permanent life insurance before the end of the level premium payment period or before reaching age 70. Death benefits range from $100,000 to more than $2.5 million. Term life insurance applications can be approved in as little as two days in some circumstances.

Universal life

Lincoln Financial offers universal life (UL) insurance, which is a type of permanent life insurance. That means it provides a death benefit no matter when you die as long as the policy remains in effect. Universal life insurance policies offer the flexibility to adjust both the monthly premiums and, to an extent, the death benefit while the policy is in effect. They also feature a cash value component that grows based on current interest rates.

Note that the company is not currently offering new universal life insurance products for sale as of July 2022.

Variable life

A variable life insurance policy is another form of permanent life insurance. Like universal life insurance, a variable life policy allows you to adjust the premium and death benefit. But it also lets you invest in the cash value and securities of your choosing. The downside is that if your investments perform poorly, your policy can lose value and potentially lapse. 

Indexed universal life

An indexed universal life (IUL) policy is also a type of permanent life insurance with a pseudo-investment feature. The cash value is linked to a market index, such as the S&P 500, and earns interest according to the performance of the linked index (or indexes). IUL policies have floors to protect you against market losses, but they also cap your gains. As with other universal life policies, you can adjust the policy’s premium and death benefits.

Available Riders

Policy riders offer additional benefits and expanded coverage on top of a standard policy. Lincoln Financial riders include the following.

Accelerated Death Benefit: Terminal illness

A terminal illness rider is a type of accelerated death benefit (ADB) that gives the policyholder access to a portion of the policy’s death benefit if they develop a terminal illness. A one-time charge applies if this rider is exercised.

Accelerated Death Benefit: Critical illness

A critical illness rider, another type of ADB, lets you access the death benefit early if you experience a critical illness, such as having a major heart attack or invasive cancer. A one-time charge applies if this rider is exercised.

Accelerated Death Benefit: Chronic illness

A chronic illness rider lets you access the death benefit during life if you can’t perform at least two activities of daily living or suffer a severe cognitive impairment. Some iterations of this rider require that you use the funds to pay for long-term care expenses while others do not.

Children’s Level Term Rider

For an additional cost, a small amount of term coverage is available for all of the insured person’s children. This rider increases the premium, but there’s no additional cost per child. Your child may be able to convert coverage to a permanent policy once they become an adult.

Waiver of Premium Rider

A waiver of premium rider is available for an additional cost on term policies only. This rider allows you to waive premium payments if you become totally disabled.

Customer Service

Lincoln Financial Group offers customer support for individual life insurance products by phone and email from 8 a.m. to 6 p.m., Monday through Friday. The company’s website offers several key features, like a live chat, an insurance needs calculator, and the ability to start a claim online. You also can change your beneficiaries by filling out an online form. However, you can’t obtain a quote on the website or submit an application online.

Final Verdict

Lincoln Financial Group is a very good choice for people seeking affordable term policies from a trustworthy and financially stable company. There's a variety of insurance policies, providing options for healthy individuals of any age and individuals dealing with critical or chronic illnesses. And as an added bonus, Lincoln Financial Group is well reviewed both by customers and third parties. However, for people looking for whole life insurance or same-day decisions, Lincoln Financial Group isn't a good option.

FAQs

How Long Does it Take to Get a Check from Lincoln Financial?

You need to submit your claim notice and online death form to get a claimant email, then complete any additional forms. Once that has been received by Lincoln Financial, a claims examiner will be in touch within five business days. The claim should be processed and a check mailed out within eight weeks.

What Is the Penalty for Early Withdrawal from Lincoln Financial?

Some products and policies may also allow you to take a partial withdrawal or partial surrender from your policy's cash value, but a withdrawal will permanently reduce the policy's death benefit. An early withdrawal may also cause a taxable event.

Is Lincoln Life the Same as Liberty Mutual?

Liberty Mutual sold Liberty Life Assurance Company of Boston to Lincoln Financial Group on May 1, 2018. The transaction included reinsuring Liberty's Individual Life and Annuity business to Protective Life Insurance Company.

Methodology

We designed a comprehensive ranking methodology based on consumer priorities and life insurance company fundamentals to rank more than 90 insurers across five general categories: financial stability, customer satisfaction, product and feature variety, the overall buying experience, and cost. In order to do this, we collected over 5,000 data points and scored each company based on 55 metrics. We grouped metrics by category to see how insurers performed in each; we then weighted category scores to determine how companies performed overall.

To learn more, read our full Life Insurance Review Methodology.